The metal was up about 12 percent in 2011 and still heading for an 11th straight annual gain, the longest winning streak in at least nine decades. It has outperformed commodities, global equities and Treasuries.
The Paulson Gold Fund, which can buy derivatives and other gold-related investments, rose 11 percent in this year's first 11 months.
Paulson's biggest funds, Advantage Plus and Advantage, seek to profit from corporate events such as takeovers and bankruptcies and have $11 billion in combined assets. The Advantage Plus Fund fell 46 percent in 2011 in its dollar shares and 29 percent in its gold shares. The Advantage Fund lost 32 percent in its dollar class and 13 percent in its gold class.
The Paulson Partners Enhanced Fund, which invests in the shares of merging companies, decreased 18 percent in its dollar class and 0.9 percent in its gold class.
The Recovery Fund, which invests in assets Paulson believes will benefit from a long-term economic upturn, declined 28 percent in its dollar shares and 12 percent in its gold class. Paulson has been betting on a U.S. economic recovery by the end of 2012.
Paulson's Credit Opportunities Fund dropped 18 percent in its dollar shares and gained 0.3 percent in its gold shares.